The bank account switching system was inundated with requests when it opened Friday.

Customers of 16 major local banks can now log onto the Pay Info webpage (www.payinfo.or.kr) between 9 a.m. and 5 p.m. with their electronic authorization certificate and transfer the automatic payment settings of their former account to a new one with just a few clicks.

Previously, customers had to contact every institution where they registered their automatic bank payments and change or cancel each setting.

Authorities expect the switching process to take three to five business days.

On Friday, the Pay Info site saw a rush of users from 9 a.m. to 9:30 a.m., causing reports of errors and loading delays, a Korea Financial Telecommunications and Clearings Institute official said.

News reports also said the Pay Info website, while easy to navigate, needed improvements to the way it informs users whether switches and cancellations were successfully made.

For now, the system only applies to bank payments for card, insurance and telecommunications companies, and will be extended to all payments early next year.

Customers will also be able to switch accounts at their banks starting February.

Major local banks, having previously released benefit packages such as banking fee exemptions and high interest to hold onto customers, are now competing with gift events.

KB Kookmin Bank is giving prizes and gift certificates to those who sign up or retain their accounts until Nov. 30 through a lottery. Shinhan Bank will do the same for 1,004 customers who set automatic bank payments to Shinhan accounts by Dec. 18.

Hana Financial Group is providing 1 million in “Hana Money” to those who set automatic payments to their bank accounts (up to 8 trillion won) by the end of the year, and Woori Bank is holding a nationwide event for first-time customers starting November.

Meanwhile, bank officials advised caution against recklessly switching bank accounts for those with loans, as people may receive less interest on their deposits due to differing rates.

KFTC also advised customers to double-check their account transfer status as it takes time for different companies to process the request, and to close former accounts after all the information has been transferred to prevent accidental unpaid or overdue fees.

By Sang Youn-joo and news reports (sangyj@heraldcorp.com)